Which of the Following Would Be Considered a Use of Cash

question 5

Multiple Choice

Which of the following would be considered a use of cash?

• A)Depreciation
• B)An increase in working capital
• C)Sale of bonds
• D)An increase in wages payable

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Definitions:

Rich Vein of Gold

Refers to a significant and high-quality deposit of gold ore.

Dividends

Earnings from a corporation distributed to its shareholders, usually from its profits.

Liability

Financial obligations or debts that a company owes to others, which must be settled over time through the transfer of assets, provision of services, or other economic benefits.

Corporation

A business created as a distinct legal entity owned by one or more individuals or entities.